WhiteFiber, Inc.

WhiteFiber owns the data centers and runs the GPU cloud on top of them — a vertically integrated model that's rare in a market usually split between wholesale colocation landlords and pure-play GPU renters. That integration is the whole investment case: owning the power and the physical shell means WhiteFiber can capture margin elsewhere spent renting from someone else.

The company operates through two segments — Cloud Services (GPU-as-a-service on NVIDIA H200/B200/GB200 hardware) and Colocation Services (Tier-3 data centers in Montreal and North Carolina) — and was spun out of crypto-miner-turned-AI-infrastructure play Bit Digital (BTBT) in 2024, which still owns roughly 70.1% of the company as of this filing.

• [OPTIONS]
  Speculative call-buying frenzyOne trader reportedly booked a same-day gain over 150% on short-dated calls on June 11. Five days later the stock jumped over 35% in a single session on heavy options flow — before the fundamentals had changed at all.
• [SHORTS]
  Record short interestShort interest hit an all-time high in May 2026. A heavily shorted float plus hot news flow is the standard recipe for violent moves in both directions.
• [TARGETS]
  Analyst targets moving fastBTIG: $35 → $50 (Jun 25). Compass Point: $32 → $50. Cantor Fitzgerald more than doubled its target from $13 to $27 — all within a few weeks of each other.
• [SECTOR]
  The AI data center land grabWYFI trades in the same basket as IREN, Applied Digital, Core Scientific and TeraWulf — former crypto miners repositioned as AI infrastructure operators, a theme the market has rewarded hard through 2026.

The EPS miss is largely a G&A story, not a cloud/colocation story: G&A more than quadrupled YoY as WhiteFiber built out public-company overhead, and outweighed the jump in depreciation as the bigger swing factor in the net loss. Operating cash flow, on the other hand, actually turned positive — the real burn is concentrated in growth capex, not the core operations. Source: WhiteFiber 10-Q, filed for the quarter ended March 31, 2026.

"We continue to see strong demand for AI compute infrastructure from enterprise customers globally."

The headline burn is a capex story, not an operations story. Operating cash flow actually turned positive this quarter — the core business is roughly self-funding at the operating level. What moved the needle was $169.2M of data center buildout spending in three months, funded mainly by the $230M convertible notes (4.50%, due 2031). Alongside that raise, WhiteFiber spent $120M on a zero-strike call option — a hedge that caps future dilution if the notes convert, a detail that shows some sophistication in how the raise was structured.

One line worth flagging into the next print: accounts receivable roughly quadrupled to $91.7M in a single quarter, well ahead of revenue growth. Some of that is normal billing lag on large new contracts like Nscale; the rest is worth confirming actually turns into cash on schedule. Of the $923.7M backlog, $502.8M — more than half — only lands 2031 and beyond, so the revenue visibility is real but heavily back-loaded.